Kobo Biotech Ltd Share Price

History of Kobo Biotech Ltd

Kobo Biotech Ltd.(Formerly known Avon Lifesciences Ltd) was established as a Public Limited Company on August 3, 1992. Effective 19th October, 2020, the Company's name was changed to Kobo Biotech Limited from erstwhile Avon Lifesciences Limited. The Company is a customer-centric manufacturer of active pharmaceutical ingredients (API).Promoted by P R Agarwal, Rajesh Agarwal and G S Sidhu, the Company manufacture diketene and its derivatives Monomethyl Acetoncetamide(MMA) and Methyl Acetoacetate(MAA). The company's 1200 tpa Diketene manufacturing faciltiy located at Sadashivpet in Andhrapradesh and the products of it were used in pigments, pharmaceuticals and pesticides. The company has a tripartite technical knowhow agreement with Shanghai Machinery & Equipment Import and Export Cor ...poration (SMEC), representative of Shanghai Peng Pu Chemical Works (SPCW) and Xytel Technologies Partnership (XTP), US. XTP shall be the technical supervisor for the transfer of technology, while SMEC shall supply the technical knowhow. The company has bagged the award for the Best New Product manufactured in the State of Andhra Pradesh as awarded by the Federation of Andhra Pradesh Chamber of Commerce and Industry and also certified as an ISO 9002 company by American Quality Asseassors accredited with ANSI-RAB for the manufacturing and marketing MMAA, MMAE, DEA, EEAA and Aralydes. The company had developed technology for recovery of Diketene from sludge. The company has also diversified into Bio-Technology, where the value addition is high. To part finance its biotech project the company has made a preferential issue of 1800000 Equity shares at Rs. 38.75 each aggregating to Rs. 697.50 lacs and issued 400000 warrants convertible into 400000 equity shares during the year 1999-2000. The Bio-Technology Plant is located at Solapur,Maharashtra for manufacture of Ephedrine and Pseudo-Ephedrine with an installed capacity of 150 MT p.a. The plant has commenced operations during April 2001. The biotech division produces Pharmaceutical intermediates i.e Pseudoephedrine and ephedrine. The company has signed two longterm export contracts to supply fixed quantities of Pseudoephedrine and is in talks with a few more MNC's for long term contracts during the year 2001-02. The company's bio-tech division is pursuing USFD approval which will enable it to enter into regulated markets. The company is all set to introduce two high value added intermediates in its Diketene Division.The company has already completed trial production for these two pharmaceutical products and is ready for commercial launch.The company is expected an additional turnover of Rs.12 crores from these products from the year 2005-06. During the year 2004-05, the Company increased its production capacity in Biotech Division. Further the company has increased the storage capacity of molasses from 2000 tons to 6000 tons. The Company in 2006-07 had received USFDA approval for its facilities at Biotech Division, at Solapur, Maharashtra for manufacture of Psuedoephedrine. Pursuant to the preferential issue of 98,09,100 equity shares [43.60% of the total paid-up equity share capital] of the Company to Arch Pharmalabs Limited in November, 2007, the SEBI [Substantial Acquisition of Shares and Takeovers] Regulations, 1997 were attracted and accordingly Arch Pharmalabs Limited, a Mumbai based Company engaged in business of manufacturing Pharmaceutical Intermediates and Active Pharmaceutical Ingredients, was obligated to acquire upto 45,00,000 equity shares of Rs.10/- each representing 20% of the share capital of the Company. Further, on receipt of SEBI approval for the Open Offer vide SEBI letter dated 11th November, 2008, the Open Offer continued from 3rd December, 2008 till 22nd December, 2008. Pursuant to the closure of the Offer, 45,00,000 equity shares were accepted in the Open Offer at an offer price of Rs. 21.85 for each equity share and subsequently transferred to Arch Pharmalabs Limited, on 31 January, 2009. Post-transfer, the shareholding of Arch Pharmalabs Limited in the Company was 1,43,09,100 equity shares comprising 63.60% of the total equity capital of the Company. Pursuant to Arch Pharmalabs Limited acquiring a majority stake of 63.60% in the Company, the Company became a subsidiary of Arch Pharmalabs Limited. Regal Pharma PTE Ltd. was formed as wholly owned subsidiary company in Singapore on May 15, 2010.